Forex: USD/JPY recovers the mark of 95.35/36 after US jobs data

FXstreet.com (Barcelona) - The USD/JPY has fallen precipitously during European trading Thursday, as the pair relinquished its hold on the 96.00 level earlier, falling to an intraday minimum of 95.08. This proved to be the bottoming out of the collapse, which on the heels of US data, now proved the impetus for a short-term recovery towards 95.35/36 in these moments. However, the pair is still incurring a loss of -0.68% off its opening.

In the United States, Initial Jobless Claims (March 17) came in at 336K, against expectations of 342K, and compared with 334K previously. In addition, Continuing Jobless Claims (March 10) were reported at 3.053M, exceeding estimates of 3.050M, and relative to 3.024M previously.

According to Analyst Bijoy Kar at MIG Bank, “Despite its recent mishaps, the USD/JPY has validated a long-term bullish trend reversal formation by breaking the strong resistance at 85.53 (06/04/2011 high).”

Mataf.net analysts calculate that any further collapse in the USD/JPY will be fortified by supports at 95.09, then 94.31, and ultimately 93.79. Conversely, the pair will face short-term resistance at 96.40, followed by 96.92, ahead of 97.70.